On April 14, 2026, the Government of Canada announced the suspension of the federal excise tax on unleaded gasoline, unleaded aviation gasoline, diesel fuel, and aviation fuel. The tax rate was set to 0 cents per liter, effective April 20, 2026, until September 7, 2026, inclusive. This measure aims to adjust costs for consumers and businesses.
Following this, on June 18, 2026, the Government of Canada announced that this temporary suspension would be extended to include leaded aviation gasoline. For this fuel as well, the federal excise tax rate was set to 0 cents per liter, for the same period, from April 20, 2026, until September 7, 2026, inclusive.
However, it is important to note that as of September 8, 2026, the federal excise tax will return to its full rate. The rates will then be 10 cents per liter for gasoline and unleaded aviation gasoline, 4 cents per liter for diesel fuel and aviation fuel, and 11 cents per liter for leaded aviation gasoline.
Clients and stakeholders are advised to take these dates into consideration for their operational planning.
Learn more:
- Customs Notice 26-11: Temporary suspension of the federal fuel excise tax
- Backgrounder – Department of Finance
Contact your Livingston accounts representative for more information.